Commissioner Albuquerque's remarks at the press point on the CSDR amendment mandating the transition to T+1 settlement in the European Union

European Commission -Speech [Check Against Delivery] Commissioner Albuquerque's remarks at the press point on the CSDR amendment mandating the transition to T+1 settlement in the European Union Brussels, 12 February 2025 Good afternoon, everyone, and thank you for being here. Today, we are proposing a change that may seem technical, but will have an important impact in making our capital markets more efficient: we propose to move from a T+2 to a T+1 settlement cycle for securities transactions in the Union by 11 October 2027. This means that an EU market participant selling a share or a bond on a Monday will get their money by Tuesday close of business, and the buyer will get the share or bond at the same time. We are not just proposing an adjustment to existing processes. Shortening the settlement cycle in the EU by one day will reduce risks and costs and will make our capital markets more efficient, more liquid and more harmonised. Another important step towards the Savings and Investments Union. Exactly 10 years ago, EU capital markets were pioneering the shift to T+2 settlement. Since then, technology advanced and settlement systems have evolved, and the US, Canada, Mexico, India and China have now moved to T+1. The UK and Switzerland are also preparing their respective transitions. A move to T+1 in the EU will thus align us with those jurisdictions and avoid the substantial costs linked to the misalignment. The shortening of the settlement cycle can...